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Whether you’re an amateur baker or a legendary pro, many citizens of Dubai are finding a newfound interest in the art of baking. So it’s no surprise that many of these bakers are thinking of starting their own bakery. And while many folks are just now finding this newfound love, bakers have been an intrinsic part of the city for years, with the fields of patisseries and cake art being a tremendously advantageous market for entrepreneurs. The UAE bakery market is expected to grow significantly over the next decade, mainly in part due to a growing population and increasing demand for gluten-free and trans-fat bakery products. With many citizens living healthy and maintaining an active diet, the demand has never been higher.
Discover Your Niche
You will need to review your talent, budget, and goals when opening a bakery business. Researching the local Dubai market will provide additional insights. By focusing on a niche audience, you are helping to limit competitors. You may discover that there is a high demand for bakeries that make cupcakes, birthday, or wedding cakes. If your product is of high quality, you can charge a premium fee and make your brand stand out.
Alternatively, you may discover that margins are thin if you aspire for a high-volume business model by producing things like naan, pita bread, and other forms of food popular in the local market. The increased competition makes it awfully hard to stand out with so many established local players who produce these items on an industrial scale.
Location and Service Options for Bakery Shop
As with many other businesses, the location of your bakery business plays a critical role in the success of your venture. With the substantial growth in commercial space across Dubai, you have the option to choose amongst a whole array of facilities located in residential areas, business districts, and shopping plazas.
In terms of service options, an increasingly popular option is to sell your goods via a website through delivery services. If you are in a business district or shopping mall where people are always on the go, you can have a walk-up counter. If you are in a residential area, space, where you can both sit down and dine, is a growing trend in the local bakery scene. A space to order and enjoy some cake on a scenic sidewalk may help you set yourself apart from the competition.
Bakery License in Dubai
You will need a local license to operate a bakery business successfully in Dubai. You can find the general requirements for getting a DED license elsewhere on this website. The most critical aspect is that bakeries are subject to the additional necessity of abiding by the local “Food Code”.
The Food Code is an initiative of the Food Control Department of the Dubai Municipality to ensure food safety from food production to consumption. It is an initiative to instill safety standards in the local bakery industry, similar to rules applicable in other developed nations.
Here are some of the requirement for bakeries that you will need to provide to the Dubai Municipality:
The requirements are subject to change; therefore, we encourage that you check with a consultant or the municipality for the latest list to ensure compliance and easy incorporation.
Submit your business name for approval
Before you can receive your business license, you’ll need to submit a name approval request to the Department of Economic Development. Your chosen name must not already be taken and may not include profanity.
Submit documentation, pay fees, and collect business license
The final steps for obtaining a trade license in Dubai will include submitting your carefully gathered documents to the authorities and paying any necessary application fees. After all dues are paid, and your application is fully processed, you’ll receive your business license.
Food Safety and Health Inspections
To legally operate a baker in Dubai, you’ll need to conform to the local “food codes.” Dubai’s Department of Food Control enforces this code to protect consumers and ensure food safety.
Hire staff
If you’re going to run a business, you’re going to need some help! You will want to seek skilled professionals as bakery work is a team effort that a single person cannot perform.
Budgeting
Your budget should have been covered at the onset of business formation, but it’s always important to watch your overall finances. Understanding your assets, profits, and inventory is a massive aspect of finding financial success in the UAE.
Food Safety Requirements
As we’ve mentioned, any restaurant or business that sells food must submit to the Department of Food Control’s requirements. This group has a set of guidelines that every business owner will need to follow, including:
If you’re thinking of forming a new business, you’ll undoubtedly want the expertise of our company . Our specialists are proud to offer expert consultative services for investors and new companies entering the UAE marketplace. We have years of experience and know-how to help you navigate the confusing terrain of Emirati business formation while providing you with the insight to help your business reach maximum profitability. Whether you’re a new investor interested in business setup in Dubai, or you’re a larger corporate entity setting up a new international branch, we have the tools to streamline your business and legal affairs!. To Get Free Consultation Click Here.